Twitter Threatens to Sue Meta over Threads Platform

(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)
(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)
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Twitter Threatens to Sue Meta over Threads Platform

(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)
(COMBO) This combination of file pictures created on July 06, 2023 shows Elon Musk as he speaks during his visit at the Vivatech technology startups and innovation fair at the Porte de Versailles exhibition center in Paris on June 16, 2023, and Meta CEO Mark Zuckerberg as he speaks during the 2013 TechCrunch Disrupt conference in San Francisco, California, on September 11, 2013. (Photo by Alain JOCARD and JUSTIN SULLIVAN / various sources / AFP)

Twitter has threatened to sue Meta Platforms over its new Threads platform in a letter sent to the Facebook parent's CEO Mark Zuckerberg by Twitter's lawyer Alex Spiro. Meta, which launched Threads on Wednesday and has logged more than 30 million sign ups, looks to take on Elon Musk's Twitter by leveraging Instagram's billions of users.
Spiro, in his letter, accused Meta of hiring former Twitter employees who "had and continue to have access to Twitter's trade secrets and other highly confidential information," News website Semafor first reported.
"Twitter intends to strictly enforce its intellectual property rights, and demands that Meta take immediate steps to stop using any Twitter trade secrets or other highly confidential information," Spiro wrote in the letter. A Reuters source with knowledge of the letter confirmed its contents on Thursday. Spiro did not respond to a Reuters request for comment. "No one on the Threads engineering team is a former Twitter employee — that's just not a thing," Meta spokesperson Andy Stone said in a Threads post.
A former senior Twitter employee told Reuters they were not aware of any former staffers working on Threads, nor any senior personnel who landed at Meta at all. Meanwhile, Twitter owner Musk said, "Competition is fine, cheating is not," in response to a tweet citing the news.
Meta owns Instagram as well as Facebook. Since Musk's takeover of the social media platform last October, Twitter has received competition from Mastodon and Bluesky among others. Threads' user interface, however, resembles the microblogging platform.
Still, Threads does not support keyword searches or direct messages. To press a trade secret theft claim against Meta, Twitter would need much more detail than what is in the letter, said intellectual property law experts including Stanford law professor Mark Lemley.
"The mere hiring of former Twitter employees (who Twitter itself laid off or drove away) and the fact that Facebook created a somewhat similar site is unlikely to support a trade secrets claim," he said.
Jeanne Fromer, a professor at New York University, said companies alleging trade secret theft must show they made reasonable efforts to protect their corporate secrets. Cases often revolve around secure systems that were circumvented in some way. The newest challenge to Twitter follows a series of chaotic decisions that have alienated both users and advertisers, including Musk's latest move to limit the number of tweets users can read per day.



Microsoft Plans to Invest $80 billion on AI-enabled Data Centers in 2025

FILE PHOTO: A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, January 25, 2021. REUTERS/Carlo Allegri/File Photo
FILE PHOTO: A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, January 25, 2021. REUTERS/Carlo Allegri/File Photo
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Microsoft Plans to Invest $80 billion on AI-enabled Data Centers in 2025

FILE PHOTO: A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, January 25, 2021. REUTERS/Carlo Allegri/File Photo
FILE PHOTO: A Microsoft logo is pictured on a store in the Manhattan borough of New York City, New York, US, January 25, 2021. REUTERS/Carlo Allegri/File Photo

Microsoft is planning to invest about $80 billion in fiscal 2025 on developing data centers to train artificial intelligence (AI) models and deploy AI and cloud-based applications, the company said in a blog post on Friday.
Investment in AI has surged since OpenAI launched ChatGPT in 2022, as companies across sectors seek to integrate artificial intelligence into their products and services.
AI requires enormous computing power, pushing demand for specialized data centers that enable tech companies to link thousands of chips together in clusters.
Microsoft has been investing billions to enhance its AI infrastructure and broaden its data-center network.
Analysts expect Microsoft's fiscal 2025 capital expenditure including capital leases to be $84.24 billion, according to Visible Alpha.
The company's capital expenditure in the first quarter of fiscal 2025 rose 5.3% to $20 billion, Reuters reported.
As OpenAI's primary backer, the tech giant is considered a leading contender among Big Tech companies in the AI race due to its exclusive partnership with the AI chatbot maker.
More than half of Microsoft's $80 billion investment will be in the United States, Vice Chair and President Brad Smith said in the blog post.
"Today, the United States leads the global AI race thanks to the investment of private capital and innovations by American companies of all sizes, from dynamic start-ups to well-established enterprises," Smith said.